<oprah.chopra[at]gmail.com> wrote:

- quote -

Even after prodding you're not providing nearly enough
information for intelligent advice. It's probably best if
you go hire an Enrolled Agent or CPA to go through all the
years in question and advise you. You could have anything
from no problem to a large one.

If you want help here, please provide the following:

1. For each year in question:
- The year
- AGI
- Filing status
- Amount contributed to traditional IRA
- Amount contributed to Roth IRA
- Amount deducted as an IRA contribution
- Figures from Part I of Form 8606, if you filed one

2. If you are 50 or older, on what date did you turn 50?

--
Phil Marti
Clarksburg, MD

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<fg8tsq$1ub$1[at]panix3.panix.com> wrote:

- quote -

It may be simple, honest, and conservative, but it is not
*correct*. The law has specific explicit requirements for
someone who makes excess contributions. You must satisfy
those requirements. The longer you wait, the more expensive
it will be, and the less likely you will be able to get
penalties waived.

See an appropriate professional _now_.

Seth

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oprah.chopra[at]gmail.com wrote:
- quote -

No such thing as trying to do something "conservatively";
only doing it the correct way. As I mentioned in my other
reply you have an excise tax issue, so please seek some
professional help.

ChEAr$,
Harlan Lunsford, EA n LA

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Harlan Lunsford wrote:

- quote -

I put $1500 each into them ( one traditional, one ROTH ).
Yes, it was 4 years ago when I opened the accounts. Back
then my Adjusted gross income was below the limits, but for
the past two years it has gone above the limits.

One simple solution would be to calculate how many shares I
bought with the excess contributions, sell them and pay the
10% IRS early-withdrawl penalty? It may not be the 'correct'
thing to do, but I think it seems honest and probably
conservative?

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oprah.chopra[at]gmail.com wrote:

- quote -

I don't know how many "a few years ago" is, but maybe. 3? 4?

If you for any one year put 3k in each of them, then that
was too much. I would suggest you engage professional tax
assistance when preparing your return next time so that he
can advise you how much you need to withdraw, and prepare
the form 5329 to go with your return with the excise tax
penalty.

However; if you grovel enough with a letter requesting
abatement you just might have a fair chance in getting the
excise taxes rebated. Obviously I can't advise you without
the yearly amounts and facts in a forum here, but do
recommend you seek out the services of either an Enrolled
Agent (EA) or Certified Public Accountant (CPA) next tax
filing season.

ChEAr$,
Harlan Lunsford, EA n LA

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<oprah.chopra[at]gmail.com> wrote:

- quote -

You should clean this up asap.
You could be subject to penalties.

___________________________________
<<< Benjamin Yazersky, CPA [NJ & NY] > > -----> real address on hobokeni or hobokenx <-----

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I opened a ROTH and traditional IRA a few years ago when my
yearly income was around 60k. I put 3k/year in them. Now my
yearly income has doubled, but I never changed my
contributions. I have around 18k in the IRA's. I have
stopped putting any more money in them, but how do I go
about calculating how to fix this mess?

Seems like such a nuisance since you can hardly contribute
much to these IRA's and then they have all these complex
rules on how much you can contribute based on your income...

<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >